What Are Intermediary Fees and How Can You Avoid Them?
Intermediary (corresponding bank) fees are small charges usually between £5 and £25 that are deducted from an international payment (SWIFT) before it arrives to the beneficiary. These fees can cause a problem when you are trying to pay the exact value of an invoice as in some cases the funds may hit the beneficiary short and result in an unhappy supplier.
When you make a SWIFT transfer through Rutland FX you will have the choice of three different expense methods: “OUR”, “SHA” and “BEN”.
“OUR” means Rutland FX Will take on these charges ensuring the correct and full amount arrives with the beneficiary without any deductions.
“SHA” means the intermediary fees will be shared between Rutland FX and the beneficiary equally. Finally,
“BEN” means the beneficiary will pay for the fees in full, you should note that it is not good practice to use “BEN” unless you have a prior agreement with a supplier.
Rutland FX gives you the option to make a SWIFT payment us using “OUR” there is no penalty, extra cost or fee for you to do this, however, it is important to request this from your account manager as all payments are set to SHA by default.
Payments made using SEPA (Single Euro Payments Area) will by default us the SHA method for payments.